Developing a World Class Lithium Project Corporate Presentation June 2019
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To the extent that this Presentation contains statements regarding the past performance of the Company’s Shares it should be noted that past performance cannot be relied upon as a guide to future performance. 1 CORPORATE PRESENTATION | JUNE 2019
CORPORATE STRATEGY Goal to become an international lithium production company with a portfolio of global projects SONORA LITHIUM PROJECT, MEXICO ZINNWALD LITHIUM Market: Asia PROJECT, GERMANY ASIA Market: Europe Market Ticker Market Cap Share Price Significant Shareholders M&G Investment Funds – 10.00% The Capital Group – 4.8% Hanwa Co., Ltd – 9.20% D&A Income Ltd – 3.5% ~£38.1m 28p AIM BCN Igneous Capital Ltd – 7.4% Other – 65.1% (11.06.19) (11.06.19) 2 CORPORATE PRESENTATION | JUNE 2019
OVERVIEW AIM listed company focused on building a 35,000 tpa lithium carbonate operation at Sonora in Mexico Experienced management Large Lithium Deposit T rack record in mine development and 8.8 Mt of LCE resources at Sonora, open-pit production mining * Strategic partnerships Completed Feasibility Study • Cornerstone investment and off-take by leading producer $1.25B NPV; 26% IRR * Ganfeng Lithium at corporate and Sonora project level • Offtake agreement and equity partnership with Japanese trading group Hanwa for initial 10 years of Stage 1 Cost Competitive production • $150 million debt finance facility from RK Finance available ~$4,000/t operating cost * among the lowest in the in 3 tranches subject to CPs industry Conventional Sulphate Process Rapidly Growing Market Ongoing battery grade (99.5%) lithium carbonate Strong demand from EV and energy storage industries with production from Pilot Plant market growing >15% annually** Approvals in Place * MIA/EIS permits received. Land acquisition completed. Water licence permits granted. * (* FS 43-101, **SignumBox) 3 CORPORATE PRESENTATION | JUNE 2019
OUTCROPPING LITHIUM DEPOSITS - COMBINED WIDTH OVER 40 METRES 4 CORPORATE PRESENTATION | JUNE 2019
SONORA LEASES – EXPLORATION UPSIDE 100,000 ha Line of strike 20 years life mine 7km 50 years 5 CORPORATE PRESENTATION |JUNE 2019
CONVENTIONAL SULPHATE PROCESSING ROUTE Open-pit mining Trommel and screen Sulphate (Na 2 SO 4 ) roast (900 degrees and 30 mins) to produce Li 2 SO 4 Evaporation and precipitation Soda Ash (Na 2 CO 3 ) addition SX and IX purification Li 2 CO 3 product 6 CORPORATE PRESENTATION | JUNE 2019
PILOT PLANT: HERMOSILLO A cost effective way of optimising design, increasing BCN staff’s technical expertise and maintaining customer relationships ▪ Integrated facility: ▪ Pre-concentration ▪ Roasting ▪ Leaching ▪ IX circuits ▪ Ongoing pilot plant operations and training incorporated within the Owners Management Team ▪ Quality of the battery grade (>99.5%) lithium carbonate validated by HANWA offtake ▪ Enables development and refinement of flowsheet to optimise product quality ▪ Continuous operation until 2020 to facilitate training prior to production 7 CORPORATE PRESENTATION | JUNE 2019
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